It is very much under market value and you could either keep it as a rental property or simply resell it for a nice profit.

I am marketing the property once I contract it and closing that contract then reselling it.

There is nothing illegal or unethical about buying a property even if an agent and then selling it utilizing the MLS and representing yourself as the seller....And if buying property and reselling it for profit the investor/agent should disclose their intention to the seller.

There's not enough margin to resell and I wouldn't cashflow anything if I held it.  

You'll never get in trouble in any state buying, taking title and then reselling any property.

Now that I know how to handle the issue and I'm comfortable that I'll be able to resell I'm actually looking for them.

If you find a deal in LA that you cash flow 10%+ that likely means you can make potentially a six figure check by reselling it.

I'm going to keep the 4/2/2 SFR as a rental and I plan to re-sell the 3/2/0 SFR.

That's exactly what I was told when becoming a re seller "This is data no one else has, it's important because of XYZ"  If you don't believe in a product, it's mighty tough to sell it, right?

That agent then says great let me show you houses from the MLS and proceeds to say in todays market that they are seeing offers at 105-110 of listed price.If I buy at 50% equity and only pay 6% in commissions,(in my case 3%) to resell why would I ever deal with the crap agents have to?